HMM Signs KRW 630 Billion Long-Term Crude Oil Transportation Contract With GS Caltex

The HMM and GS Caltex to enter 10 years and long-term crude oil transportation agreement of approximately KRW 630 billion, that took 26 days to conclude.

With this contract, HMM will be in the Middle East, including Saudi Arabia, for 10 years from July 1, 2022, to July 1, 2032, where GS Caltex’s crude oil would be transported to Korea. Accordingly, HMM has a 300,000-ton supertanker (VLCC: Very Large Crude Oil Carrier) that will be introduced.

In addition, it is possible to extend the contract period up to an additional five years through an agreement between the two companies according to future schedules.

VLCC ‘Universal Leader’ with the use of new CI
Image Credits: hmm21.com

HMM said, “With this agreement, cooperation between the two companies has been even more robust,” he said. “We at home and abroad will expand long-term contracts with various high-end shippers to secure stable profits and diversify our business. ”

Meanwhile, the cooperation of crude oil transportation businesses between HMM and GS Caltex has far lasted more than 20 years in the past.

In 2018, Bar signed a long-term crude oil transportation agreement of approximately KRW 190 billion sales five years, it is.

Reference: hmm21.com

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